Adjustments (Adjustments never involve cash or GST): a. Physical Stock-take of office supplies revealed supplies used for June - $620.00. b. Calculate and record the adjusting entry for the Wages Payable for the month of June that have not as yet been paid. c. Insurance – the $2,000.00 (previously paid) is now fully used (expired) and 15 days coverage from the recent insurance policy paid also needs to be expensed. For the recently paid amount simply divide by 12 months and then by 2. d. Calculate and record the adjusting entry for rent for the month of June. e. Sun Radio advertising for the entire month of June was carried out and the amount for one month should now be expensed. f. Calculate the amount for Provision of Doubtful Debts and make the necessary journal entry. g. Calculate the amounts for the depreciation of the non-current assets and make the necessary journal entries – there are 3 depreciation expense accounts so do a separate journal entry for depreciation of each asset. h. Adjust for the prepaid Phone & Internet rental paid on the 28th (exclude GST). i. Based on the average use of electricity for the year and the seasonal usage an amount of $1,498 is estimated for June.
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